The environmental cost of a pizza joint

REAL ESTATE

Published 5:30 am, Tuesday, September 2, 2008

The owner of a local pizza franchise plans to apply for LEED certification for his 2,600-square-foot restaurant space on the back burner because it was going to cost too much.

Toman said he would have to pay between $30,000 and $40,000 to become certified by the U.S. Green Building Council under its Leadership in Energy and Environmental Design program, which awards points to structures that are energy efficient and otherwise good for the environment.

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Much of the cost goes to consulting companies that develop energy-efficiency plans for buildings seeking certification. These firms also make sure the buildings ultimately perform the way they were designed and file reams of paperwork required on all projects regardless of their size.

"It seems like they're overcharging," he said. "I'm trying to do the right thing, but someone's taking advantage of it and charging high rates."

But also, it can cost about the same to certify a small restaurant as it does a much larger building, because it involves almost the same amount of paperwork.

Toman said his store is the only one in the national chain that won't have LEED certification.

But he's still building the restaurant as planned.

Its insulation will be made with recycled blue jeans and counters manufactured with old Coke bottles. A high school's basketball court is being reused for the floors and tables, and a special oven will heat water.

The restaurant is expected to open this fall near Louetta and Texas 249 in the northwest part of the Houston area.

Fort Lauderdale, Fla.-based Pizza Fusion has sold more than 75 franchises in 15 states. The full-service restaurant specializes in organic, vegan and gluten-free pizzas.

Against the odds

Carlos Bazbaz is betting that there's still a market for first-time home buyers.

Despite a steep downturn in sales of homes priced for the entry-level consumer, the head of Lanterra Homes recently started a residential project in the Spring Branch area and is about to begin another just east of downtown.

"It's not what it was a year and a half ago, but things have been OK for us," said Bazbaz, who is close to selling out a 60-unit community near the Astrodome. "The key is we just have to keep supply in check."

The downtown project, called The Gillespie, is at 3202 Baer. It's part of a larger transitional area that's attracted a multitude of townhome developers because of its vacant land and lower prices.

His target market is young professionals with high incomes and good credit who are renting apartments.

But competition in the housing market for those folks is brutal.

Bazbaz said he goes into communities where he can offer "a more compelling price than anybody there."

The 36 units will start in the $160,000s.

Luxury apartment rentals can run well above $1,200 a month.

"It's compelling for them to make a purchase," Bazbaz said.

To help get home shoppers off the fence, he's offering $5,500 toward closing costs if the buyer uses the builder's preferred lender.